IDEAS home Printed from https://ideas.repec.org/h/spr/sprchp/978-981-33-4520-1_4.html
   My bibliography  Save this book chapter

Financial Deepening and Financial Stability

In: Economic Lessons from China’s Forty Years of Reform and Opening-up

Author

Listed:
  • David Daokui Li

    (An Academic Center for Chinese Economic Practice and Thinking (ACCEPT), Tsinghua University)

  • Jinjian Shi

    (China Institute of Finance and Capital Markets,China Securities Regulatory Commission (CSRC))

  • Dapeng Chen

    (An Academic Center for Chinese Economic Practice and Thinking (ACCEPT), Tsinghua University)

  • Lin Lu

    (An Academic Center for Chinese Economic Practice and Thinking (ACCEPT), Tsinghua University)

  • Xushuo Wang

    (Bank of China)

  • Kangyi Liu

    (INSEAD)

Abstract

The cultivation and regulation of the financial system has been a key component of the Chinese economy’s reform and opening-up process over the past 40 years. In this section, we will focus on some stylized facts and provide a brief history of the cultivation and regulation of the financial system over the past 40 years of reform and opening-up before summarizing some economic lessons we can learn from this process. Our main argument is that the steady progress of local-currency-based financial deepening is essential for fast investment in the real economy and channeling savings into investment. However, financial deepening is based on financial stability, which requires the government to proactively monitor and mitigate financial risk.

Suggested Citation

  • David Daokui Li & Jinjian Shi & Dapeng Chen & Lin Lu & Xushuo Wang & Kangyi Liu, 2021. "Financial Deepening and Financial Stability," Springer Books, in: David Daokui Li (ed.), Economic Lessons from China’s Forty Years of Reform and Opening-up, pages 67-117, Springer.
    • Handle: RePEc:spr:sprchp:978-981-33-4520-1_4
    DOI: 10.1007/978-981-33-4520-1_4
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:sprchp:978-981-33-4520-1_4. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.